SolarEdge Technologies, Inc., a global leader in smart energy technology, announced its decision to close its Energy Storage division to focus on its core solar business. The move will affect around 500 employees, primarily based in South Korea. By shutting down this division, the company expects to save approximately $7.5 million in quarterly operating expenses, with full savings projected by the second half of 2025. SolarEdge plans to sell the assets tied to its storage division, including facilities for manufacturing battery cells and packs. This decision will not impact its solar-related battery sales for residential and commercial markets.
Ronen Faier, Interim Chief Executive Officer of SolarEdge, said in a statement,”The decision to close our Energy Storage division was the result of a thoughtful analysis of our portfolio of businesses and product lines, industry trends, and the competitive environment. The measures also represent continued execution of two of our main priorities: financial stability through cost reduction, return to cash flow positivity and profitability; and focus on our core business lines of solar, PV-attached storage and energy management capabilities. I wish to thank our Energy Storage division employees for all of their efforts in building this business.”